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Once again, China's economic data showed the world's second-largest economy growing at a slower-than-expected pace, in what appears to be its new normal these days. But there's at least one area of China that seems immune to those growth concerns: Macau.

This week, China's official purchasing managers' index fell to 50.6 in April from 50.9 in March, the latest sign of slowing.

Yet even as China and its stock market struggle, gamblers continue to flock to Macau, the former British colony known for its Las Vegas-style strip of casinos. Gaming revenue rose 13.2% in April and has jumped 14.4% so far this year, to $11 billion. Those gains have come despite a series of unfortunate events, including China's corruption crackdown and avian-flu fears that should have kept Chinese travelers at home.

Of course, with gains like that it's fair to ask whether all the good news is priced into the stocks. RBC Capital Markets analyst John Kempf doesn't think so. "It's tough enough to find a market growing 10% month-over-month in gaming, let alone other industries," he says. "These are good numbers, and if they continue, it will drive stocks higher."

Still, it pays to be choosy. Joohee An, portfolio manager of the
Mirae Asset Asia Great Consumer
fund (MGCEX), says investors should target the companies that have the most exposure to "mass" gamblers, as opposed to the wealthier VIPs, to better take advantage of the Chinese consumers' newfound jones for traveling -- and that operate casinos on the Cotai, which is modeling itself on the Las Vegas Strip and seeks to become the go-to destination for Macau visitors. Two stocks that fit the bill:
Sands China1928.hk -1.2307692307692308%Sands China Ltd.Hong KongHKD32.1
-0.4-1.2307692307692308%
/Date(1427835663000-0500)/
Volume (Delayed 15m)
:
13193545
P/E Ratio
13.117518121171342Market Cap
262217930000
Dividend Yield
6.230529595015576% Rev. per Employee
2848700More quote details and news »1928.hkinYour ValueYour ChangeShort position
(1928.Hong Kong) and Galaxy Entertainment, which make up nearly 9% of her portfolio. "It's old Macau versus new Macau," she says.

Investors shouldn't count out the U.S. operators, RBC's Kempf says. Las Vegas Sands and Wynn, both of which he rates Outperform, get 61% and 71% of their revenue from Macau, respectively. Sands has more exposure to the mass market, while Wynn has a brand name that should keep the VIP gamblers showing up at its casinos, he says. Both companies, meanwhile, pay above-market dividends to investors -- Wynn yields 2.9% while Las Vegas Sands yields 2.4% -- and Kempf expects both to grow. They also paid large special dividends last year that pushed those yields to 7%, Kempf says: "That's important."

BY THE TIME YOU READ THIS, Malaysians will have voted to elect a new government. The potential for an upset has some concerned that the reforms that helped Malaysia's economy grow at a 6.4% clip last year could be undone. But investors shouldn't worry. Either party is unlikely to do anything to hamper Malaysia's growth, says Michael Reynal, portfolio manager of the RS Emerging Markets fund. "It might create some nerves [in the market] for a few days," Reynal says, "but it could be a buying opportunity."